The Barrier in E-Commerce Adoption among SMEs in Malaysia

Abstract

This research paper is concerned about the low involvement of SMEs to uptake the E-Commerce technology to be part of their business operation. Lack of affordance in adoption will caused Malaysian SMEs to be left behind from the market competencies whether domestic or across the globe. In line with technological evolution is critically important especially to stimulate rapid growth economy at the same time giving rise to local communities. However if Malaysian SMEs is staying complacent and unable to struggle in overcoming this growing pains, they might lose many potential opportunities in various aspects. The golden opportunities like international market share, gigantic employment opportunities, higher revenues and profit will be “out of sight” by the repercussion. The purpose of this study is to address the barriers that hinders Malaysian SMEs to adopt the technology of E-Commerce to be incorporated in their business operation. The theoretical framework has been illustrated and will be compared on the actual occurrences. Three Independent Variables (IV) will be investigated against one Dependent Variable (DV) which may yielded additional insights on its relationship. The methods of this research used is quantitative methods where
141 out of 200 questionnaires was obtained from Malaysian SMEs companies. The respondents consist of any personnel that have the capacity to represent the whole company. The data collection has been collected and explicated accordingly whereas the result of the findings is being compared with the extant literature. We concluded with the barriers raised among Malaysian SMEs and addressed accordingly the suggestions and recommendations to empower Malaysian SMEs in the future.